Globe says V.AN seen in a choice spot - Call $1 share target 2022-04-26 08:12 ET - In the News
The Globe and Mail reports in its Tuesday edition that Paradigm analyst David Davidson says Arena Minerals is "well positioned" in the Lithium Triangle of South America. The Globe's David Leeder writes that Mr. Davidson began coverage with a "speculative buy" call and $1 share target, which 15 cents under the consensus. Mr. Davidson says in a note: "Argentina has recently become the mecca for investment into the growing lithium market and should begin to rival its neighbour Chile as a leading lithium producer. Currently, there are two brine operations in Argentina producing about 37Kt of lithium carbonate equivalent compared to 112Kt LCE in Chile. However, there are at last count eight projects either at the feasibility stage or under construction that could push production to in excess of 80Kt LCE by 2026. Arena has quickly become a prominent new name in lithium brine development by virtue of its high-quality Sal de la Puna and Antofalla projects and management team with 50 years of lithium development experience. Combined with a strategic partnership with Ganfeng Lithium, China's largest lithium compounds producer, you have a company that should move to producer status in a reasonably short time frame."